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Judge grants injunction to renew possible sale of 2 shuttered Chester County hospitals
An injunction granted against Tower Health requires the company to continue selling Brandywine and Jennersville Hospitals. FOX 29's Kelly Rule has an update to the developing story.
WEST CHESTER, Pa. - A Chester County judge granted an injunction against Tower Health on Monday which breathed new life into the potential sale of two recently shuttered hospitals.
Texas-based Canyon Atlantic sought to buy Brandywine and Jennersville hospitals last year, but Tower Health officials said the deal fell through, and both hospitals closed in Dec. and Jan.
The closure raised concerns among residents and county officials alike that Chester County Hospital would have a hard time managing the influx of new patients.
"This is a huge void now, and it’s going to create some serious challenges for patients that would normally be 10 minutes away are going to have to go 30 minutes away, it’s going to put a lot of pressure on EMS," Former Director of Pastoral Care at Brandywine Hospital Reverend Garry Fowler said.
Chester County Hospital vouched for a modular emergency room in its parking lot to add additional beds, a move that was unanimously supported by the West Goshen Township Board of Supervisors.
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Tower Health closes Brandywine Hospital month after Jennersville closure
Tower Health closed Brandywine Hospital on Monday night, leaving the Chester County community concerned about the availability of healthcare. Attorney's for Canyon Atlantic Healthcare, a prospective buyer, have asked a Chester County judge for a preliminary injunction, saying Tower Health backed out without giving them notice.
Canyon’s Chief Financial Officer, Michael Zwetschkenbaum, testified earlier this month that Tower Health asked for more money upfront than the original purchase agreement called for.
He also outlined certain requests of documents and checks and balances to close the deal, but said Tower "continued to put up barriers."
Attorneys for Tower Health argued that the injunction should not be granted with the hospitals already closed, saying Canyon "did absolutely nothing" for 42 days before filing its request.
Weeks later, a 10-page injunction order said in part that Tower Health’s conduct interfered with Canyon’s ability to complete the necessary tasks to close the deal.
RELATED COVERAGE
- Chester County Hospital pushes modular hospital after Tower Health closures
- Tower Health closes Brandywine Hospital month after Jennersville closure
- Tower Health set to close Jennersville and Brandywine hospitals
Chester County Judge Edward Griffith’s decision now means Tower Health will have to resume the process of selling Brandywine and Jennersville Hospitals to Canyon Atlantic Partners. It says Canyon will have 90 days to evaluate the condition of the hospitals and gather what they need to close the deal.
They will also have to post $1M bond, which was the amount Canyon agreed to pay Tower last year.
"We are encouraged by any movement toward reopening Jennersville and Brandywine Hospitals and are monitoring this situation closely," Chester County Commissioners said in a statement. "We want to see emergent care, acute care and behavioral health services return to these locations as soon as possible."
A spokesperson for Tower Health did not offer comments as they review the judge's decision. Meanwhile, lawyers for Canyon plan to hold a Tuesday press conference.
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